Boeing’s (BA) quarter earnings fell short of market estimates reporting a loss of $7.69 per share as revenue fell 3% to $14.79 billion. The loss was largely due to the company taking a $3.5 billion pre-tax non-cash charge on its 787 Dreamliner program, and a halt in deliveries amid discussions with regulators which is taking longer than expected. Boeing sees abnormal costs related to the 787 increasing to $2 billion, up from an estimate of $1 billion in Q3, with most of the cost incurred by the end of 2023.
Commercial revenue increased to $4.8 billion, helped by rising 737 deliveries but due to the 787 delays, it is below the $5.58 billion estimate. The aerospace giant recorded 79 orders in the fourth quarter, for a total of 479 net orders on the year, delivering 99 commercial jets in the fourth quarter.
Free cash flow turned positive to $494 million from negative $4.27 billion in the year-ago quarter, however, the total company backlog was $377 billion at the end of the quarter. On the defense and space side, revenue dropped 14% to $5.86 billion.
Dow 30 component Boeing (NYSE: BA) is the world’s largest aerospace company and leading manufacturer of commercial jetliners and defense, space, and security systems. To learn more about Boeing (BA) and to track its ongoing progress please visit the Vista Partners Boeing (BA) Coverage Page.
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